2021 Capital Gains Tax Rates (and How to Minimize Them)

Capital gains taxes are the taxes you pay on profits from most investments, including stocks, bonds, or mutual funds.  When you sell an investment for more than you paid for it, you'll have to pay taxes on your gains at either the short-term capital gains rate or the long-term capital gains tax rate.

The long-term capital gains rate is below the tax rate you'll pay on most other income. In fact, long-term capital gains are taxed at either 0%, 15%, or 20%, depending on your income, and the threshold for each rate can change from one year to the next. Here's what you need to know about the 2021 capital gains tax rates, as well as how you can minimize the money you pay the IRS when selling profitable investments. 

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Source Fool.com